Examining the Mediating-Moderating Role of Entrepreneurial Orientation and Digital Competence on Entrepreneurial Intention in Vocational Education

Abstract

The rapid development of technology and digitalization in today's era has affected many aspects of life, including business and entrepreneurship. On the other hand, vocational education also has an essential role in preparing reliable and qualified human resources in this field. However, the main problem is the absence of entrepreneurial orientation and digital competency support in vocational education. In addition, low social and psychological capital results from this problem. This research aims to measure the role of social capital (SC) and psychological capital (PC) on entrepreneurial orientation (EO). Together they influence entrepreneurial intention (EI). In addition, entrepreneurial orientation (EO) was tested for its role as a mediator and tested for the moderating effect of digital competence (DC). This study used a quantitative research method with an ex post facto approach involving 757 vocational education student respondents. Data was collected through an Entrepreneurial Intentions questionnaire with a Likert scale of 1-5 (strongly disagree to agree strongly). SEM analysis tests the direct effect based on the path coefficient and the mediating and moderating effect based on the bootstrap results. The study results reveal that social capital (SC) and psychological capital (PC) and entrepreneurial orientation (EO) are significant in entrepreneurial intentions (EI). Entrepreneurial orientation (EO) is essential in mediating social and psychological capital's influence in determining intentions. Digital competence (DC) can prove its moderating role significantly in its interaction with entrepreneurial orientation (EO) in determining intentions. In addition, social capital (SC) and psychological capital (PC) and entrepreneurial orientation (EO) as the basis for forming entrepreneurial intentions (EI) in vocational education students. The recommendation from the study is that vocational education providers need to increase the use of technology in learning, provide entrepreneurship education and training programs and build networks with local business communities.